1. At a Glance – Stainless Steel, But Make It Sexy
Venus Pipes & Tubes Ltd is that kid from Kutch who quietly topped the class while others were busy flexing on Instagram. Current market cap sits at ₹2,419 Cr, CMP ₹1,171, down ~8% in 3 months and ~19% over 1 year, while the business itself is clearly not in a midlife crisis. Latest Q3 FY26 results delivered ₹297 Cr revenue (+28% YoY) and ₹26.1 Cr PAT (+45% YoY) with operating margins chilling at ~16%, not collapsing despite stainless steel price mood swings. ROCE of 25%, ROE of ~20%, debt-to-equity at a manageable 0.36, and an order book of ₹490 Cr that can keep the furnaces warm till June 2026.
This is not a commodity pipe wallah selling plumbing to your builder uncle. Venus supplies high-precision, high-spec stainless steel pipes & tubes to oil & gas, power, pharma, chemicals, and global EPC players. Over 39% exports, presence in 25+ countries, US alone contributing ~20% of export volumes, and backward integration via mother hollow pipes means margins don’t evaporate the moment nickel sneezes.
So yes, the stock price looks tired. The business? Very much caffeinated. Let’s open the valves.
2. Introduction – Pipes, But Not the Boring Kind
If you think pipes are boring, that’s because you’ve only seen PVC ones carrying society ka pani. Venus Pipes operates in the stainless steel pipes & tubes segment where tolerances are tighter than RBI liquidity and clients are more demanding than IPO anchor investors.
Founded as a stainless steel pipes and tubes manufacturer, Venus has carved a niche across seamless and welded products, serving oil & gas, power, pharma, chemicals, automotive, aerospace, and infrastructure. These are not “chal jayega” applications. These are “agar fail hua toh blast ho jayega” applications. That’s where pricing power quietly hides.
From ₹119 Cr sales in FY19 to ₹1,123 Cr TTM, revenue has grown at ~40% CAGR over 5 years, while profits grew at an even more aggressive ~86%
CAGR. This is what happens when capacity expansion meets export demand meets value-added products.
Yet, the stock is down from ₹1,683 highs. Why? Because markets get bored quickly, and capex stories take time to digest. So the real question is not “why price down?” but “is the business compounding while the price naps?”
Let’s decode.
3. Business Model – WTF Do They Even Do?
Venus Pipes does one thing, but does it in multiple complicated ways: it converts stainless steel into pipes and tubes that must survive extreme pressure, temperature, corrosion, and audits from global EPCs.
Product Buckets
- Stainless Steel Seamless Pipes
Used in oil & gas, power plants, petrochemicals. High entry barriers, tight specs, better margins. - Stainless Steel Welded Pipes
Mechanical, structural, marine, infrastructure. Volumes + diversification. - High Precision Heat Exchanger Tubes
The crown jewel. Used in boilers, power plants, refineries. That ₹190 Cr power-sector order lives here. - Hydraulic & Instrumentation Tubes
Auto, aerospace, industrial automation. Small diameter, high precision, low rejection tolerance. - Box Pipes
Structural stuff. Lower margin but fills capacity and keeps cash flowing.
Revenue Mix (H1 FY26)
- Seamless: 56%
- Welded: 38%
- Others: 6%
Translation: more than half the business comes from higher-margin, technically complex seamless products. That’s a good pipe to smoke.
4. Financials Overview – Numbers Don’t Lie, They Roast
Quarterly Performance Table (₹ Cr)
| Metric | Latest Qtr (Q3 FY26) | YoY Qtr (Q3 FY25) | Prev Qtr (Q2 FY26) | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 297 | 231 | 292 | 28.3% | 1.7% |
| EBITDA | 49 | 37 | 48 | 32.4% | 2.1% |
| PAT | 26.1 | 18.0 | 26.0 | 45.2% | 0.4% |
| EPS (₹) | 12.36 | 8.82 | 12.67 | 40.1% | -2.4% |
